Pharmaceutical Business review

Cambrex to acquire contract drug developer Avista Pharma for $252m

Image: Avista Pharma to be acquired by Cambrex. Photo: courtesy of Adam Ciesielski / FreeImages.com.

Through the acquisition of Avista, Cambrex will be adding early stage small molecule development and testing services to its capabilities.

Avista, which is a portfolio company of Ampersand Capital Partners, provides a range of scientifically differentiated services like active pharmaceutical ingredient (API), drug product development, cGMP manufacturing and also analytical, microbiology testing and solid state sciences.

Cambrex, on the other hand, is a US-based manufacturer of small molecule innovator and generic APIs and finished dosage forms.

The company expects the transaction to further consolidate its position as a fully integrated small molecule contract development and manufacturing organization (CDMO) across the entire drug lifecycle.

Cambrex president and CEO Steve Klosk said: “We are excited to announce our acquisition of Avista, which further rounds out our small molecule service offering by adding a full complement of early stage development capabilities for both API and finished dosage form as well as comprehensive analytical testing services.

“The addition of Avista further underscores our commitment to providing the broadest possible range of world class services to our global customer base.”

Avista operates four facilities, out of which three are in the US and one is in the UK, with a combined space of more than 200,000ft2.

This year, the company claims to have worked for nearly 180 customers till date on more than 200 small molecules. As part of the deal, its workforce comprising 330 people will join the 1,700 employees of Cambrex working in the US and Europe.

Avista Pharma CEO Pat Walsh said: “This transaction affirms the reputation that our dedicated employee base has established as a trusted early stage CDMO with a track record of world class customer service, technical expertise and strong growth.”

The transaction, which will be based on meeting of customary closing conditions, is likely to be completed during the fourth quarter of this year.

In September, Cambrex completed the acquisition of Halo Pharma, a dosage form CDMO with bases in the US and Canada, for about $425m.